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Nuclear power makes a global comeback

27 May 2025

 

A shift is taking place in the global energy conversation. Once dismissed as too risky or too slow, nuclear power is back on the table. And this time, it's not just governments paying attention – technology giants, utilities and climate policymakers are all revisiting the atom as a serious contender in the race to net zero and to keep up with exploding electricity demand.

The nuclear renaissance is real, and like all renaissances, it brings both opportunity and risk.

By 2030, data centres are expected to consume more than 945 terawatt-hours of electricity – slightly more than the entire electricity consumption of Japan today.

With the electrification of transport, heating and industry, we are entering an era of permanent peak demand. The world needs more power, and it needs it fast and clean.

Renewables are surging, but they are not enough on their own. Intermittency and energy storage remain significant hurdles. This is where nuclear energy offers something others can't: a reliable, carbon-free, around-the-clock baseload solution. It's no wonder that more than 50 countries include nuclear in their decarbonisation strategies.

Widespread momentum

In recent years, the US has provided incentives for clean energy, including nuclear. Canada and France are investing in extending reactor lifespans and exploring new builds, and Japan is reopening idled plants.

The UK committed to delivering up to 24GW of nuclear power by 2050, three times its current capacity. China, meanwhile, is building new reactors at a pace unmatched globally, aiming for 150 new reactors by 2035.

This momentum is mirrored in emerging markets as well. In 2024, the UAE's Barakah nuclear plant reached full capacity, with all four of its reactors online, adding 5.6GW to the grid and supplying up to 25% of the country's electricity needs. Egypt's El-Dabaa nuclear plant, the first of its kind in North Africa, is under construction, while Sub-Saharan Africa is weighing nuclear options to meet growing energy access needs.

With more and more countries in the region positioning nuclear as part of a diversified, forward-looking energy mix, the Middle East has an opportunity to lead and help shape the global nuclear narrative.

Opportunities and risks

Nuclear energy is an attractive proposition for several reasons. On one hand, it offers significant benefits: zero direct emissions, stable supply, high energy density and long operating life.

It can stabilise grids, reduce dependency on fossil fuels and support industrial decarbonisation. It even enables clean hydrogen production and zero-carbon desalination. Moreover, it is a particularly good option for energy-exporting nations that are aiming to decarbonise domestic use while freeing up more oil and gas for export.

On the other hand, atomic power comes with challenges and risks that cannot be ignored. For example, the economics are daunting: large nuclear plants come with hefty price tags and long development cycles.

The average construction time for large-scale plants still exceeds a decade, and budgets frequently spiral out of control. Hinkley Point C in the UK, for instance, has faced several delays and is now projected to cost over £30bn ($40.6bn).

In addition, while the risks are statistically rare, the safety concerns still carry political and emotional weight. Then, there's the lingering question of radioactive waste management and the geopolitical sensitivity of nuclear materials.

These are not only technical limitations; they are also societal ones. Public acceptance, regulatory uncertainty and geopolitical tensions are as much a part of the nuclear equation as megawatts and megabucks.

This is where innovation plays a vital role. Small modular reactors (SMRs) are redefining the nuclear landscape.

These compact, factory-built systems promise faster deployment, lower capital costs and more flexibility. A single SMR can power a city, support a mining operation or anchor a green hydrogen hub – often with minimal land use and enhanced safety features.

Governments and private investors are taking note. The US and Canada have fast-tracked SMR development. Poland and the Czech Republic are exploring SMRs to transition away from coal. In Finland, start-ups are developing reactors for district heating; and in the UK, a fleet of SMRs is planned to bolster energy security.

Earlier this year, Siemens Energy joined forces with Rolls-Royce SMR to lead the exclusive supply of power generation technology for SMRs and help bring these next-generation reactors to market.

With decades of experience focusing on the power island of nuclear power plants – providing steam turbines, generators and operational instrumentation and control systems – Siemens Energy believes nuclear energy will play an important role in the decarbonisation of the future energy mix and strives to support innovative technologies in the sector.

While this is one example, it reflects a broader shift: recognising that nuclear power's future can be more modular, scalable and integrable into a wider clean-energy system.

Scaling SMRs from promise to reality is no easy feat, however. Regulatory frameworks remain fragmented, financing models are untested, and public acceptance, even for smaller reactors, is not guaranteed.

While SMRs are smaller, they are still nuclear: the concerns around waste, security and expertise remain, just at a different scale.

The bottom line is that the promise of new nuclear requires bold leadership and rigorous oversight. We must proceed with ambition and caution, encouraging transparent international cooperation on nuclear safety and non-proliferation.

This means fast-tracking regulatory pathways without compromising on oversight, and investing in the talent and infrastructure needed to make more nuclear energy use not just possible, but viable, affordable and safe.

We also need to be clear-eyed about the role of nuclear in the broader energy mix. As we stand at this inflection point, we should remember that nuclear is neither saviour nor scapegoat.

It cannot compete with solar or wind on cost or speed of deployment, but it offers reliable, clean power when the sun doesn't shine and the wind doesn't blow. As grids become more complex and demand more relentlessly, that value will only grow.

Our task is to harness the opportunities of the nuclear renaissance, while managing the risks with responsibility and wisdom, because the decisions we make about nuclear energy today will not just power our data centres, they will shape the energy landscape for generations to come.

The energy transition is not a sprint or a marathon; it's a relay race. Every technology has a leg to run, and nuclear energy's leg may be more critical than ever before.

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